Section 125 Savings Calculator
See exactly how much your company and employees can save with tax-advantaged preventative health plans. Adjust the sliders to match your company size and salary structure.
Annual Employer FICA Savings
$13,770
That's $275 per employee
Monthly Take-Home Increase Per Employee
$11
Annual savings: $138
Projected ER Cost Reduction
20+ fewer
emergency room visits annually
Total Annual Benefit Value
$20,655
employer + employee combined
This calculator uses estimates based on Section 125 plan structures and average healthcare cost data. Actual savings depend on plan selection, employee demographics, and claims experience. Schedule a consultation for customized projections.
How the Calculation Works
The calculator estimates savings based on Section 125 plan structure and FICA tax rules:
FICA Rate
7.65% (employer + employee combined)
Average Annual Contribution
$3,600 per employee (based on industry benchmarks)
Employer FICA Savings
Employee Count × Annual Contribution × 7.65%
Employee Take-Home Increase
Approximately 50% of employer savings passed to employee
ER Cost Reduction
Estimated 40% reduction based on preventative health data
Real-World Examples
Small Business (25 Employees)
$18,097 annual employer savings
$723.88 per employee annually
Mid-Size (75 Employees)
$54,291 annual employer savings
$723.88 per employee annually
Growing Enterprise (150 Employees)
$108,582 annual employer savings
$723.88 per employee annually
Savings Calculator FAQ
Are these savings guaranteed?
These are estimates based on Section 125 plan structure and industry data. Actual savings depend on your specific plan selection, employee demographics, and claims experience. Schedule a consultation for a customized quote.
What's the $3,600 annual contribution based on?
This is an industry average for preventative health benefits and Section 125 reimbursement accounts. Your actual contribution limit can vary based on plan design.
Is the 40% ER visit reduction realistic?
This is based on data from employers with preventative health programs. Results vary by industry, demographics, and program adoption. Many employers see 20-40% reductions.
How much goes to employees vs. employers?
Employers save 100% of their FICA tax savings. Employees save on both their FICA taxes and get the financial benefit through the plan design.
What about small businesses with fewer than 10 employees?
Kingston Advantage requires a minimum of 10 employees. If you have fewer, we can discuss alternative options. Contact us for details.
Beyond the Numbers: Intangible Benefits
The financial savings are just the beginning. Consider these additional benefits of Kingston Advantage and Capstone Advantage:
- ✓Increased employee retention (lower turnover costs)
- ✓Improved employee satisfaction and morale
- ✓Reduced stress and mental health challenges
- ✓Lower absenteeism and presenteeism
- ✓Enhanced company culture and employer brand
- ✓Competitive advantage in recruiting top talent
Ready for Customized Numbers?
The calculator provides estimates. Book a free presentation to get a customized quote and implementation plan based on your company's specific situation.
Book Your Free Presentation